La Crosse Boot & Shoe Mfg. Co. v. Mons Anderson Co.

Citations

• 13 S.D. 301
• 83 N.W. 331
• 1900 S.D. LEXIS 146

Syllabus

<p>1. E. owned a stock of g'oods, which he mortgaged to defendant companies, and their mortg’ag-es were properly [filed. Afterwards E. mortgaged the same stock to plaintiff, but before plaintiff’s mortgage was filed E. sold the stock to F., who removed it to another county and sold it to C. Held, that C. having- no notice of plaintiff’s mortgage at the time he purchased the goods, could authorize the sheriff, who had possession of the goods, to sell them for the benefit of defendants, and plaintiff cannot complain of such disposition, not having filed its mortgage in proper time.</p> <p>2. F. was the purchaser of a stock of goods on which defendants had mortgages, properly filed. Plaintiff also had a mortgage, which was not filed until afler the sale to F., who had no notice of such mortgage. The goods were in possession of the sheriff and F., and defendants agreed that the sheriff should sell .the g-oods until enough was realized to pay the defendants’ mortgages, and, if sufficient was not realized, to hold the money until the the relative priority of defendants’ claims were determined. Held, that the contract was not a 'sale to defendants, but an authority to the sheriff to sell the goods as agent of F., with the consent of defendants, the proceeds to be held for their benefit, and, being entered into by the parties without nolice of plaintiff’s mortgage, defendants were not guilty of a conversion.</p> <p>3. F. purchased a stock of goods on which defendants held mortgages. Plaintiff also had a mortgage, which was not filed until after the purchase by F., who had no notice of such mortgage. F. and defendants agreed that the sheriff should sell the stock of goods; the proceeds to be applied on defendants’ mortgages if sufficient was realized; if not, to hold such proceeds until the relative priorities of- defendants’claims were determined. Held, in an action by plaintiff against defendants for conversion, that an instruction that if plaintiff did not establish, by a